H-1B status binds a worker to a single employer. To switch roles, the worker must find a new sponsor and successfully transfer their petition before leaving. This friction discourages the sudden leap of faith common in tech hubs. US citizens can quit a job on a whim to pursue an idea; H-1B holders face a 60-day grace period before losing legal status.
Launching a venture is even more complex. An H-1B holder can technically own equity in a company, but they cannot legally work for that company as an employee without a different visa. Many wait for an approved I-140 petition to gain flexibility, but the processing backlog is immense. This creates a bottleneck. High-skilled engineers often remain in stable corporate roles because the legal risk of starting a business is too steep. They trade disruptive potential for the safety of a visa stamp.
